Showing posts with label Analysis of the GBP / USD Divergences for March 5. The pound will continue to fall. Show all posts
Showing posts with label Analysis of the GBP / USD Divergences for March 5. The pound will continue to fall. Show all posts

Analysis of the GBP / USD Divergences for March 5. The pound will continue to fall

4h

N8wJs7f4E71do6cSi1HEkCHg2DPc3x0AoLpnhchy

The GBP / USD pair on the 4-hour chart made a U-turn in favor of the US dollar and continues the process of falling in the direction of the correction level of 76.4% - 1.3094. Releasing the pair on March 5 from this level will allow traders to count on a turn in favor of the British currency and the resumption of growth in the direction of the Fibo level of 100.0% - 1.3300. Fixing a pair of quotes under the level of 76.4% will increase the chances of continuing falling towards the next correction level of 61.8% - 1.2969.

The Fibo grid is built on extremes from September 20, 2018, and January 3, 2019.

1h

Z2ixscrm-zTSTaMJLUw9V7h5unpUxm4bSZV-Qjal

On the hourly chart, the pair reversed in favor of the American currency and consolidated below the correction level of 100.0% - 1.3217. Thus, the drop in quotations can be continued in the direction of the next correction level of 76.4% - 1.3111. There are no maturing divergences on both charts today. The rebound of the pair from the Fibo level of 76.4% will work in favor of the pound sterling and some growth in the direction of the correction level of 100.0%.

The Fibo grid is built on extremes from January 25, 2019, and February 14, 2019.

Recommendations to traders:

Purchases of the GBP / USD pair can be made with the target of 1.3217 and a Stop Loss order below the level of 76.4% if the pair bounces off the level of 1.3111 (hourly chart).

The GBP / USD pair can be sold now with the target at 1.3111 and a Stop Loss order above the 100.0% level, as the pair closed below the 1.3217 level (hourly chart).

The material has been provided by InstaForex Company - www.instaforex.com